TaxTMI 
TaxTMI 
2017 (11) TMI 1026
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....llahabad and the following questions of law have been framed by the Revenue: "(A) Whether the order passed under Section 263 of the Act is absolutely justified as fulfills twin conditions laid therein but its non consideration in its prospective manner by the ITAT renders its order against the law which is not sustainable in any manner. (B) Whether from the material evidence available on record it is clearly established that the respondent was not registered under Section 12A/12AA of the Act for the relevant assessment year and as such not entitle for the exemption claimed to this effect and it has been rightly and legally arrived at conclusion while exercising the jurisdiction conferred under Section 263 of the Act but it....
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....td. vs. CIT (2000) 243 ITR 83 (SC), the twin conditions, namely (i) the order of the assessing officer sought to be revised is erroneous and (ii) it is prejudicial to the interest of revenue, are both fulfilled in the instant case, based on facts and legal position as discussed above, I therefore, hold that the assessment order passed u/s 143(3) of the I.T. Act, 1961, dated Dec., 29, 2011, in the case of assessee for the Assessment Year 2009-10 is erroneous and prejudicial to the interest of revenue and the same is hereby cancelled and the assessing officer is directed to make a fresh assessment in this case after considering and complying with the issues raised and as elaborately discussed in the present order." The order of the Commiss....
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....stated that during the relevant assessment year, the society was running an intermediate college and from the said activity the society has collected a sum of Rs. 95,71,259/-. The Assessing Authority has allowed the benefit of Section 10(23C)(iiiad). Section 10 of the Act provides certain income not included in the total income. Sub section (23C) of Section 10 provides any income received by any person on behalf of - (i) ........... sub clause (iiiad) provides as follows : "any university or other educational institution existing solely for educational purposes and not for purposes of profit if the aggregate annual receipts of such university or educational institution do not exceed the amount of annual receipts a....
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....m of Rs. 1,06,74,432/- which is more than Rs. 1 crore, the claim and benefit to the petitioner/assessee is not acceptable. The ITAT has considered the issue in detail and has also considered the provisions of Section 1 and Section 263 of the Act. Section 263(1) provides as under : "The [Principal Commissioner or] Commissioner may call for and examine the record of any proceeding under this Act, and if he considers that any order passed therein by the [Assessing] Officer is erroneous in so far as it is prejudicial to the interests of the revenue, he may, after giving the assessee and opportunity of being heard and after making or causing to be made such inquiry as he deems necessary, pass such order thereon as the circumstances o....